New digital tax system to cost BTL landlords time and money

There have been fresh warnings about the amount of time and money buy-to-let landlords will have to spend when HMRC’s ‘Making Tax Digital’ system goes live in 2020.

The concept, introduced in the 2015 Autumn Statement, aims to digitalise the tax system by insisting the self-employed, small businesses and unincorporated landlords needing to keep digital records and use software to update HMRC with quarterly self-assessment tax returns.

The scheme, originally set to commence from April 2019, has been delayed by the government until 2020, to give landlords more time to prepare for digital record keeping.